Microcap IPO flow remains steady moving into August, with seven companies on the calendar.
Investors are watching this week for the July Consumer Price Index report, due out Aug. 10, and the Producer Price Index report, expected to be released Aug. 11.
“The IPO market should resume building momentum in September, but first, we need to see new filings in the next few weeks,” said Bill Smith, co-founder and CEO of Renaissance Capital.
Upcoming microcap IPOs include a tech-fueled fitness company, an alcoholic beverage industry marketer, a biotech stem cell company, a Pakistan esports events company, a Macau forestry company, and a Hong Kong brokerage.
Fusion of Fitness and Technology
Fitell (FTEL) had an original estimated IPO date of May 26 and then July 21, seeking to raise $15 million at an almost $56 million market cap. Now Fitell’s estimated IPO date is Aug. 8. The company now intends to raise $17 million at a $61 million market cap. Founded in 2007 and based in Australia, Fitell is a fitness retailer and tech-powered online gym with three proprietary brands under Gym Direct. Fitell also plans to launch virtual offerings and smart equipment in 2023.
Fitell booked $6 million in sales for the year ended Dec. 21. Joint bookrunners on this deal are Revere Securities and R.F. Lafferty & Co.
Alcoholic Beverage Marketing
LQR House (LQR) has an estimated IPO date of Aug. 9 and intends to raise $5 million at a $51 million market cap. Founded in 2021 and based in the United States, LQR provides digital marketing and brand development in the alcoholic beverage industry. The company partners with Country Wine & Spirits (CWS) for marketing, and the CWS influencer networks act as LQR affiliates. LQR also has a wine club and its own limited-batch spirit brands.
LQR booked $1 million in revenue for the year ended Mar. 21, 2023. EF Hutton is sole bookrunner on this deal.
Biotech Stem Cell Therapies
Vitro Biopharma (VTRO) has an estimated IPO date of Aug. 9 and seeks to raise $10 million at a nearly $37 million market cap. Founded in 1986 and based in the United States, Vitro Biopharma is a biotech company targeting inflammatory disorders and autoimmune diseases using its proprietary platform, AlloRx Stem Cell therapy. Culture-expanded mesenchymal stem cells are sourced from Wharton’s jelly of umbilical cords donated by healthy volunteers after childbirth.
Vitro Biopharma also intends to initiate trials in pediatric orphan disease Pitt Hopkins syndrome and post-acute sequelae to SARS-CoV-2 (“long COVID”) in late 2023. The company plans to generate revenue from its other technologies through research services, the sale of stem cell products, and cosmeceuticals through its wholly-owned subsidiary, InfiniVive MD.
The company booked $2 million in revenue for the year ended Apr. 30, 3023. The sole bookrunner on this deal is ThinkEquity.
Pakistan Esports Events
Gamer Pakistan has an estimated IPO date of Aug. 10 and intends to raise almost $8 million at about a $115 million market cap. Founded in 2021 and based in the United States, Gamer Pakistan is a development-stage interactive esports event promotion and product marketing company creating professional, inter-university, and college esports events for men’s and women’s teams in Pakistan.
Gamer Pakistan plans to expand the range of its esports offerings to other markets and may consider live sports. Operations in Pakistan will be conducted through Elite Sports Pakistan and K2 Gamer, as Gamer Pakistan acquired 90% ownership of K2 Games this year.
The company has not generated any revenues to date. The sole bookrunner on this deal is WestPark Capital.
Nature Wood Group (NWGL) has an estimated IPO date of Aug. 22 and intends to raise about $9 million at a nearly $167 market cap. Founded in 2008 and based in Macau, Nature Wood Group is a vertically-integrated forestry company focused on FSC business operations, including upstream forest management and harvesting and downstream wood processing and distribution. The company offers logs, decking, sawn timber, synthesized charcoal, flooring, essential oils, recycled charcoal, and machine-made charcoal in South America, North America, Europe, South Asia, and China.
Nature Wood Group owns forest concessions and cutting rights for timbers in Peru. The company also works with local forest owners in Peru and holds timber auctions in France for log supply.
The company booked $55 million in revenue for the year ended Dec. 21. Prime Number Capital and Orientiert XYZ Securities are joint bookrunners on this deal.
Hong Kong Brokerage
Solowin Holdings (SWIN) has an estimated IPO date of Aug. 11 and wants to raise almost $13 million at a nearly $73 million market cap. Founded in 2017 and based in Hong Kong, Solowin is a holding company conducting its operations primarily through its wholly-owned subsidiary, Solomon JFZ, a Hong Kong securities brokerage offering products and services through an electronic platform.
Solowin Holdings’ clients are primarily Chinese investors residing in Asia and institutional clients in Hong Kong, New Zealand, and Australia. As of March 31 the JFZ platform has over 20,000 users, and more than 15,400 also opened trading accounts with the company.
The company booked $4 million in revenue for the year ended Mar. 31. The sole bookrunner on this deal is EF Hutton.
Tech-Focused Golf Products
Sacks Parente Golf (SPGC) has an estimated IPO date of Aug. 11 and intends to raise nearly $14 million at about a $63 million market cap. Founded in 2018 and based in the United States, Sacks Parente Golf is a tech-focused golf company that designs and sells putting instruments, shafts, grips, and other golf-related products under the SPG brand. In 2022, the company opened a new shaft manufacturing facility in MO and intends to manufacture and assemble substantially all of its products in the US.
The company is currently unprofitable. The Benchmark Company is sole bookrunner on this deal.